The Fed is fucking up the Yield Curve

All I know, is that I want some cash from the discount window!
I could create my own note, they're all worthless paper anyways!

Second, there is no risk in the market, put all your cash in stocks, walk away, and the greenspan put will aleve all your worries!
 
Quote from Pa(b)st Prime:

I made a very wrong guess this week dhbar. I'll put it in my journal but essentially I covered my Bond shorts Wednesday night with 5'yrs. I was short ES from 83.25 (I was scaled up to 86 so it's not like I guessed the exact high) and I thought the selloff in stocks would give the front end at least a pause in it's freefall while the Bond came off. On Thursday I was covering Bonds 12 ticks worse than the corresponding levels I'd bought some of those 5's. Plus I underweighted the 5yr side of the trade cutting the money that some of those longs made. I was saved only by overtrading on Thursdays highs (I sold the shit out of the 10yrs off that 26 level) and catching the reaction for a handful of ticks.
More...

sorry to hear that papst. it is pitty because it was discussed on several threads beforehand that flattening is the name of the game due to supply issues + flight from quality. hope you do better next week!

note: all action happens in short end - leave bonds for the beginning of Sep.
 
Quote from daddyeaux:

the fed is fucking up the yield curve????

how about the yield curve is fucking up the Fed.??????
More...

you are funny daddyeaux. for every positive thing I find you find 2 negative :).

kudos for the housing guess long time ago - despite I still believe it is not an issue in a big scheme of things...
but psychology and lack of education of the crowd can do wonders.
 
I don't think any of these Fed actions had anything in favor of the general masses, the problem will eventually catch up undoubtedly and the people will suffer again while the paper owners will laugh their way to the banks!
The only true winner of all these was GW whom a financial crisis(disaster) would have guaranteed his place in the history as the worst ever and his party would have totally lost it,s chance for the 98 elections completely.
If you remember the news, on the very first day of the problem it was announced that WH and GW personally are monitoring the markets...!?!
 
Quote from dhpar:

you are funny daddyeaux. for every positive thing I find you find 2 negative :).

kudos for the housing guess long time ago - despite I still believe it is not an issue in a big scheme of things...
but psychology and lack of education of the crowd can do wonders.
More...

well, I've been thru several housing busts but they didn't rock the financial markets like this one will...

I think the real fireworks lay ahead since 600 billion $ of subprime resets happen in the next 8 months...

I'm not a pessimist, just a realist, and listening to CNBC you'd think this whole thing is not a big deal.

me thinks we're still in the first inning of this game
 
yup - nothing against that BUT people that are going to be hurt the most were not big consumers before anyway so the economic impact is of the second order.

Next I do not believe that consumers decisions are driven primarily by equity withdrawals. In my simple view it is driven much more by future prospects of economy, career etc., i.e. as long as employment and world economy is fine people are going to consume (likely in lesser pace than before though).
 
You must log in or register to reply here.
Back
Top